Australia: Treasury Wine Estates divests non-core US brands
Treasury Wine Estates, the Australian-based wine group, has announced that it has divested 12 non-core brands within its US portfolio.
The firm, which owns Wolf Blass and Blossom Hill, said that the brands were sold at approximately book value and represented around one million cases of non-core Commercial wine. The name of the buyer was not specified.
In a statement to the Australian stock exchange, Treasury Wine Estates said: "Over the past two years, TWE has been taking deliberate action to manage-down this portfolio of brands", adding that the move was expected to have nil value on the group's earnings in this financial year.
The divestment follows the group's acquisition last year of the majority of assets from Diageo's wine operations in the UK and the USA, in a deal worth $600 million.
Source: Treasury Wine Estates